The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1887-04-05
THE INSIDE HISTORY
or THE BALTIMORE s ONO DEAL,
The Dasirnbtlity of. tho Contamination ut
tho Negotiations for the Sale OF the
Hoad.Siemorihls Presented to the Iu.
ter-State Commerce Com missiun,

PHILADELPHIA, April 4.-The Pre,, to
day has the following: A gentleman very
largely interested in railroads, whose name
has the highest credit in tho financial
world, and who was an intimate friend o
Mr.. Vanderbilt and other railway presl
dents, and one Of tho promoters Of the
South Pennsylvania project, declares thai
in bis opinion the deal will yet be made
He puts the matter in an entirely nov
light and his opinions, coming with the
weight Of authority, are entitled to Gre.
dence. Ia -
During the time Of John W. Garrett the
Baltimore 4 Ohio railroad was one OF the
moat conservatively managed concerns in
the country. aNE d.
At his death the major portion Of the
stock was held by the estate, the Johns
Hopkins University aud the city OF Bslti-
more. Under the management OF Robert
Garrett, who Bucceded bis father as presi.
dent, there was change OF policy result
ing in very large expenditures by the
Baltimore & Ohio which have not proved
pro1ta BILE Bs yet. The road was extended
throughout the West In all dircotions Mt
great cos. after hoayy expenditures in
making connections at Pittsburgh and
other points in Pennsylvania. Mr.. Gar
rett then decided on extending the road
to New York. At an expense Of from $I5,-
000, 900 to $4,000. 900 he has finished the
lineto Philadeiphiaands acquired extensive
and valuable terminals In this city, He
made contracts with the Reading & Jer.
sey Central which would give him an en-
trance to the metropolis, but after com.
pleting his road to Philadelphia he finds
these contracts worthless. and he can
only make new terms with the Reading
which will be in accord With the views OF
President Roberts, OF the Pennsylvania,
Mr.. Garrett has made no secres OF his
desire to become free from the cares OF
business, and Last winter he spoke on the
subject to MIR. Alfred Suliy, Mr.. Corbin
and others. Theae gentlemen at once
saw thst thers vas great possibilities in
the purchase OF Mr.. CARROTS interest
and Mr.. Sully's active brain invented a
grand plan to unite many great systems
OF railway under one head. y
II the scheme is successful there will
practically be but three great railroad sys
TENS in the United States, aud the object
which J. Pierpoint Morgan had in his mind
in 1885, when he set sbout to stop dsmay.
ing competitioI among great roads by the
West Shore settlement and Soush
Pennsylvania purchase, will have been
accomplished. The systems will be the
Pennsylvania, the Now York Central and
Baltimore and Ohio. All these lines will
have an outlet to the Pacific coas. in time,
and they will control three.luar;ers OF the
railroad business OF the county. Tho Eric
road, it Is assumed, is virtually under the
control OF the VanderbiltR, D. D. Mills and
other parties who arc interested strongly
in the main object OF the deal which is TO
unity railroad interests and promote har-
lnony as TO freight and passenger charges.
These systems will no doubt act in tsr-
mony as far as generous rivalry will allow
them. In any event, freight rates will be
liked and determined, q ma.tur OF almost
incalculable advantage to the roads md
the business public.
One OF the stfoHges! ressons for the
Capitalization OF railroad property has
arisen since the Baltimore Il Ohio neeo.
tiations began, in tho passsgs Of the Inter
State bill. Unde, it's provisions harmony
among railroads as 10 freight charges is
made more necessary than ever before.
The law prohibits pooling, and acquisition
is the only alternative Of capitalists who
have such large ,noneyed interest in rsil-
road property that thOy can afford to take
no chanceB. II the Baltimore & Ohio
changes hands there will bo little difficulty
in settling question: which have been the
subject Of bitter competition. With only
three Systems of railroad harmony is as.
6ured.